Sensex on Wednesdy returned to its pre-demonetisation level by jumping 333 points to end at a nearly 3-month high of 27,708 on the back of strong earnings amid positive global feelers while NSE Nifty went past the 8,600-mark for the first time since November 1.
Covering of pending short positions following the expiry of the January futures and options contracts today and positive earnings by some companies aided sentiment. Stock exchanges will be shut tomorrow for the Republic Day.
After a positive start, the 30-share Sensex rose further and settled up 332.56 points, or 1.21 per cent, at 27,708.14 -- a level last seen on November 1 when it had closed at 27,876.61. It hit an intra-day high of 27,736.83.
The gauge had rallied 341.08 points in the previous two sessions.
Also, the 50-issue NSE Nifty ended at 8,602.75, up 126.95 points, or 1.50 per cent, after moving between 8,612.60 and 8,493.95.
“Market had come to the pre-demonetisation level supported by the ongoing quarterly results which largely survived the expected slowdown. Positive global cues also added excitement in the market rally,” said Vinod Nair, Head of Research, Geojit BNP Paribas Financial Services.
Banking, metal, auto and consumer durables stocks were in fine nick, lifting the key indices.
Mood was aided by optimism ahead of the Union budget on February 1 amid a firming trend in Asia and Europe following overnight record close in the US on hopes of fresh spending by new US President Donald Trump, traders said.
The banking index advanced the most by surging 2.33 per cent, followed by consumer durables (2.26 per cent), oil and gas (1.75 per cent), PSU (1.64 per cent) and metal (1.39 per cent).
HDFC ltd emerged as the top gainer in the Sensex kitty, climbing 4.31 per cent, followed by Adani Ports (up 3.61 per cent). HDFC Bank surged 1.56 per cent after the lender today reported 15.04 per cent growth in net profit for the December quarter.